Busan is good

Busan Metropolitan City to Support Early Scrapping of 5,000 Old Diesel Vehicles… All-Out Efforts to Reduce Fine Dust and Greenhouse Gases

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Busan Metropolitan City (Mayor Park Heong-joon) announced that it will invest KRW 15.2 billion this year to implement the Early Scrapping Support Program for Old Diesel Vehicles in order to reduce air pollution caused by vehicle emissions.

The City will support a total of 5,000 units, including 2,570 Grade 5 vehicles, 2,415 Grade 4 vehicles, and 15 forklifts and excavators.

The program will be carried out in two phases: 3,000 units in the first phase and 2,000 units in the second phase (with a separate announcement scheduled for August 2026). The number of supported vehicles may be adjusted within the limits of the available budget.

Due to a decrease in the number of registered Grade 5 vehicles and declining participation demand, this year will be the final year for providing early scrapping subsidies for Grade 5 vehicles.

Eligible vehicles for early scrapping support include: Grade 4 and Grade 5 diesel vehicles (Grade 5 includes vehicles using fuels other than diesel), three types of on-road construction machinery manufactured under emission standards applied on or before August 31, 2009 (dump trucks, concrete mixer trucks, and concrete pump trucks), and forklifts and excavators manufactured on or before December 31, 2004.

Eligible vehicles must have been continuously registered in Busan Metropolitan City for at least six months as of the application date, and the final owner (including joint owners) must have owned the vehicle for at least six months. The vehicle must also have a valid periodic (comprehensive) inspection and, after selection, must receive a “normal operation” judgment in the vehicle condition inspection. However, vehicles that have installed emission reduction devices or have been converted to low-emission engines with government support are excluded.

Vehicle emission grades can be checked through the Vehicle Emission Grade System website (www.mecar.or.kr) or by calling the call center (1833-7435).

Subsidies are divided into a “first-phase (scrapping) subsidy” and a “second-phase (vehicle purchase) subsidy,” which is provided when purchasing a vehicle that meets the required conditions after scrapping. Subsidy amounts differ depending on vehicle type and model year.

Starting this year, Grade 5 vehicles with a gross vehicle weight of less than 3.5 tons are excluded from the second-phase (vehicle purchase) subsidy. For Grade 4 vehicles, the second-phase subsidy will be provided only when purchasing electric, hydrogen, or hybrid vehicles.

In addition, to receive the second-phase subsidy, the owner (including joint owners) of the scrapped vehicle and the newly registered vehicle must be the same.

Low-income households (basic livelihood security recipients and near-poverty groups) and small business owners may receive an additional KRW 1 million within the subsidy cap upon submission of supporting documents.

For early scrapping, the cost of the vehicle condition confirmation (performance inspection) will also be supported separately from the scrapping subsidy at KRW 14,000 per vehicle this year.

Applicants may receive this support by submitting proof of payment of the inspection fee when claiming the scrapping subsidy. Any excess cost must be borne by the applicant, and if the inspection fee is less than KRW 14,000, only the actual amount paid will be reimbursed.

Applications are accepted starting today (February 25) until the budget is exhausted.

Applicants may apply online via the Vehicle Emission Grade System website (www.mecar.or.kr) or submit the required documents (application form, copy of ID, etc.) by registered mail to the Korea Automobile Environmental Association (6th Floor, 317 Simin-daero, Dongan-gu, Anyang-si, Gyeonggi-do, 14055).

Within 10 days of application, a “Confirmation of Eligibility for Payment,” specifying eligibility and subsidy amount, will be sent via KakaoTalk.

Those selected as subsidy recipients must complete the vehicle condition inspection and scrapping within two months from the date of selection and then claim the scrapping subsidy. The vehicle purchase subsidy may be claimed after registering a new vehicle within four months from the date of selection.

For more details, applicants may refer to the Notice section of the City’s website (www.busan.go.kr/nbgosi) or contact the Korea Automobile Environmental Association (1577-7121), the Busan Metropolitan City Call Center (051-120), or the City’s Carbon Neutrality Policy Division (051-888-3555~8, 3587).

Lee Byeong-seok, Assistant Mayor of Environment and Water Policy Office, stated, “Participation in the early scrapping of old diesel vehicles is more important than ever in reducing fine dust and greenhouse gases,” adding, “As support for Grade 5 vehicles will end this year, we ask for the active participation of our citizens.”